,,ii #aacth ,,congress #b;d ,session ,s4 #bbbd ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,april #i1 #bjad,mr4 ,schatz 7for himself1 ,mr4 ,brown1 ,ms4 ,warren1 ,mr4 ,sanders1 and ,mr4 ,blumenthal7 introduced the following bill2 which was read twice and referred to the ,committee on ,banking1 ,housing1 and ,urban ,affairs ,a ,,bill ,to enhance the accuracy of credit reporting and provide greater rights to consumers who dispute errors in their credit reports1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,stop ,errors in ,credit ,use and ,reporting ,act or the ,,secure ,act4 #b4 ,legal recourse for consumers 7a7 ,injunctive relief ,the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afha et seq47 is amended-- 7#a7 in section #faf-- 7,a7 in subsection 7a71 by striking 7a7 ,in general4-- and inserting 7a7 ,damages4--2 7,b7 by redesignating subsections 7c7 and 7d7 as subsections 7d7 and 7e71 respectively2 and 7,c7 by inserting after subsection 7b7 the following3 7c7 ,injunctive relief ,in addition to any other remedy set forth in this section1 a court may award injunctive relief to require compliance with the requirements imposed under this title with respect to any consumer4 ,in the event of any successful action for injunctive relief under this subsection1 the court may award to the prevailing party costs and reasonable attorney fees 7as determined by the court7 incurred during the action by such party4 2 and 7#b7 in section #fag-- 7,a7 in subsection 7a71 by striking 7a7 ,in general4-- and inserting 7a7 ,damages4--2 7,b7 by redesignating subsection 7b7 as subsection 7c72 and 7,c7 by inserting after subsection 7a7 the following3 7b7 ,injunctive relief ,in addition to any other remedy set forth in this section1 a court may award injunctive relief to require compliance with the requirements imposed under this title with respect to any consumer4 ,in the event of any successful action for injunctive relief under this subsection1 the court may award to the prevailing party costs and reasonable attorney fees 7as determined by the court7 incurred during the action by such party4 4 7b7 ,enforcement by federal trade commission ,section #fba7;a77#b77;,a7 of the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afhas7a77#b77;,a77 is amended-- 7#a7 by striking 7,a7 ,knowing violations4-- and inserting 7,a7 ,negligent1 willful1 or knowing violations4--2 and 7#b7 by inserting negligent1 willful1 or before knowing4 #c4 ,increased requirements for consumer reporting agencies and furnishers of information 7a7 ,provision and consideration of documentation provided by consumers ,the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afha et seq47 is amended-- 7#a7 in section #faa-- 7,a7 in subsection 7a7-- 7i7 in paragraph 7#b7-- 7,i7 in subparagraph 7,a71 by inserting 1 including all documentation provided by the consumer after received from the consumer or reseller2 and 7,,ii7 in subparagraph 7,b71 by inserting 1 including all documentation provided by the consumer1 after from the consumer or reseller2 and 7ii7 in paragraph 7#d71 by inserting 1 including all documentation1 after relevant information2 and 7,b7 in subsection 7f77#b77;,b77ii71 by inserting 1 including all documentation1 after relevant information2 and 7#b7 in section #fbc-- 7,a7 in subsection 7a77#h77;,e71 by striking clause 7ii7 and inserting the following3 7ii7 review and consider all relevant information1 including all documentation1 provided by the consumer with the notice2 2 and 7,b7 in subsection 7b77#a71 by striking subparagraph 7,b7 and inserting the following3 7,b7 review and consider all relevant information1 including all documentation1 provided by the consumer reporting agency pursuant to section #faa7;a77#b72 4 7b7 ,gathering and reporting of information relating to consumer disputes ,section #faa of the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afha et seq47 is amended by adding at the end the following3 7g7 ,gathering and reporting of information relating to consumer disputes 7#a7 ,reports required ,the ,bureau shall provide reports regarding the disputes described in subsection 7a77#a7 received by consumer reporting agencies in such intervals and to such parties as the ,bureau deems appropriate4 7#b7 ,gathering of information ,the ,bureau shall prescribe rules for the gathering of information relating to disputes described in subsection 7a77#a7 received by consumer reporting agencies to be used in generating the reports under paragraph 7#a71 including rules establishing-- 7,a7 the type and format of information that shall be received by the ,bureau from each consumer reporting agency2 and 7,b7 the frequency of receipt of the information from consumer reporting agencies4 4 7c7 ,accuracy compliance procedures ,section #fjg of the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afha;e7 is amended by striking subsection 7b7 and inserting the following3 7b7 ,accuracy of report 7#a7 ,in general ,a consumer reporting agency shall follow reasonable procedures when preparing a consumer report to assure maximum possible accuracy of the information concerning the individual to whom the consumer report relates4 7#b7 ,bureau rule to assure maximum possible accuracy 7,a7 ,proposed rule ,not later than #a year after the date of enactment of the ,stop ,errors in ,credit ,use and ,reporting ,act1 the ,bureau shall issue a proposed rule establishing the procedures that a consumer reporting agency must follow to assure maximum possible accuracy of all consumer reports furnished by the agency in compliance with this subsection4 7,b7 ,considerations ,when formulating the rule required under subparagraph 7,a71 the ,bureau shall consider if requiring the matching of the following information would improve the accuracy of consumer reports3 7i7 ,the first name and last name of a consumer4 7ii7 ,the date of birth of a consumer4 7iii7 ,all #i digits of the social security number of a consumer4 7iv7 ,any other information that the ,bureau determines would aid in assuring maximum possible accuracy of all consumer reports furnished by consumer reporting agencies in compliance with this subsection4 4 7d7 ,responsibilities of furnishers of information to consumer reporting agencies ,section #fbc7;a77#h77;,f77i77,,ii7 of the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afhas-#b7;a77#h77;,f77i77,,ii77 is amended by inserting 1 and does not include any new or additional information that would be relevant to a reinvestigation before the period4 7e7 ,disclosures to consumers ,section #fji of the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afha;g7 is amended-- 7#a7 in subsection 7a77#c77;,b71 by striking 2 and and all that follows through the end of subparagraph 7,b7 and inserting the following3 7ii7 the address and telephone number of the person2 and 7iii7 the permissible purpose of the person for obtaining the consumer report1 including the specific type of credit product that is extended1 reviewed1 or collected as described in section #fjd7;a77#c77;,a74 2 7#b7 in subsection 7f7-- 7,a7 by amending paragraph 7#g77;,a7 to read as follows3 7,a7 supply the consumer with a credit score that-- 7i7 is derived from a credit scoring model that is widely distributed to users by the consumer reporting agency for the purpose of any extension of credit or other transaction designated by the consumer who is requesting the credit score2 or 7ii7 is widely distributed to lenders of common consumer loan products and predicts the future credit behavior of the consumer2 and 2 and 7,b7 in paragraph 7#h71 by inserting 1 except that a credit score shall be provided free of charge to the consumer if requested in connection with a free annual consumer report described in section #fab7;a7 before the period2 and 7#c7 in subsection 7g77#a7-- 7,a7 by striking subparagraph 7,c72 and 7,b7 by redesignating subparagraphs 7,d7 though 7,g7 as subparagraphs 7,c7 through 7,f71 respectively4 7f7 ,notification requirements 7#a7 ,adverse information notification ,the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afha et seq47 is amended-- 7,a7 in section #fab1 by striking subsection 7b7 and inserting the following3 7b7 ,free disclosure after notice of adverse action or offer of credit on materially less favorable terms 7#a7 ,in general ,not later than #ad days after the date on which a consumer reporting agency receives a notification under subsection 7a77#b7 or 7h77#f7 of section #fae1 or from a debt collection agency affiliated with the consumer reporting agency1 the consumer reporting agency shall make1 without charge to the consumer1 all disclosures required in accordance with the rules prescribed by the ,bureau under section #fji7;h74 7#b7 ,transition period ,after the effective date of the provisions of the ,stop ,errors in ,credit ,use and ,reporting ,act and before the ,bureau has finalized the rule required under section #fji7;h71 a consumer reporting agency that is required to make disclosures under this subsection shall provide to the consumer a copy of the current credit report on the consumer and any other disclosures required under this ,act or the ,stop ,errors in ,credit ,use and ,reporting ,act1 without charge to the consumer4 2 and 7,b7 in section #fae7;a7-- 7i7 by redesignating paragraphs 7#b71 7#c7 and 7#d7 as paragraphs 7#c71 7#d71 and 7#e7 respectively2 7ii7 by inserting after paragraph 7#a7 the following3 7#b7 direct the consumer reporting agency that provided the consumer report used in the decision to take the adverse action to provide the consumer with the disclosures described in section #fab7;b72 2 and 7iii7 in paragraph 7#e71 as redesignated by this paragraph-- 7,i7 in the matter preceding subparagraph 7,a71 by striking of the consumer's right2 7,,ii7 by striking subparagraph 7,a7 and inserting the following3 7,a7 that the consumer will receive a copy of the consumer report on the consumer1 free of charge1 from the consumer reporting agency that furnished the consumer report2 and 2 and 7,,iii7 in subparagraph 7,b71 by inserting of the right of the consumer before to dispute4 7#b7 ,notification in cases of less favorable terms ,section #fae7;h7 of the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afham7h77 is amended-- 7,a7 in paragraph 7#a71 by striking paragraph 7#f7 and inserting paragraph 7#g72 7,b7 in paragraph 7#b71 by striking paragraph 7#f7 and inserting paragraph 7#g72 7,c7 in subparagraph 7#e77;,c71 by striking may obtain and inserting will receive 7,d7 by redesignating paragraphs 7#f71 7#g71 and 7#h7 as paragraphs 7#g71 7#h71 and 7#i71 respectively2 and 7,e7 by inserting after paragraph 7#e7 the following3 7#f7 ,reports provided to consumers ,a person who uses a consumer report as described in paragraph 7#a7 shall notify and direct the consumer reporting agency that provided the consumer report to provide the consumer with the disclosures described in section #fab7;b74 4 7#c7 ,notification of subsequent submissions of negative information ,section #fbc7;a77#g77;,a77ii7 of the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afhas-#b7;a77#g77;,a77ii77 by striking or customer and inserting or before account4 7#d7 ,bureau rule defining certain disclosure requirements ,section #fji of the ,fair ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afha;g7 is amended by adding at the end the following3 7h7 ,bureau rule defining certain disclosure requirements 7#a7 ,proposed rule ,not later than #a year after the date of enactment of the ,stop ,errors in ,credit ,use and ,reporting ,act1 the ,bureau shall publish a proposed rule to implement the disclosure requirements described in section #fab7;b74 7#b7 ,considerations ,in formulating the rule required under paragraph 7#a71 the ,bureau shall consider-- 7,a7 what information would enable consumers to determine the reasons for which a person took adverse action or offered credit on materially less favorable terms and to verify the accuracy of such information2 and 7,b7 how to provide the information described in subparagraph 7,a7 while protecting consumer privacy1 including procedures to ensure that such information is provided to the consumer at the appropriate address4 4 #d4 ,regulatory reform ,section #fba of the ,federal ,credit ,reporting ,act 7#ae ,u4,s4,c4 #afhas7 is amended by adding at the end the following3 7h7 ,consumer reporting agency registry 7#a7 ,establishment of registry ,not later than #ahj days after the date of enactment of the ,stop ,errors in ,credit ,use and ,reporting ,act1 the ,bureau shall establish #c publicly available registries of consumer reporting agencies1 including-- 7,a7 a registry of nationwide consumer reporting agencies as described in section #fjc7p72 7,b7 a registry of nationwide specialty consumer reporting agencies as defined in section #fjc7x72 and 7,c7 a registry of all other consumer reporting agencies included under subsection #fjc7;f7 that are not included under section #fjc7p7 or #fjc7x74 7#b7 ,registration requirement ,all consumer reporting agencies as defined in section #fjc7;f7 must register with one of the registries established by the ,bureau under this subsection in a timeframe established by the ,bureau4 4 #e4 ,study of a public credit reporting system 7a7 ,study ,not later than #f months after the date of enactment of this ,act1 the ,comptroller ,general of the ,united ,states shall undertake a study-- 7#a7 of credit systems in the international credit system with government-administered consumer credit reporting systems2 7#b7 of available information regarding the accuracy of existing government-administered consumer credit reporting systems2 7#c7 to evaluate the feasibility of a national1 government-administered consumer credit reporting system2 7#d7 of any consumer benefits that might reasonably be expected to result from a government-administered consumer credit report2 and 7#e7 of any costs that might result from a government-administered consumer credit reporting system in the ,united ,states4 7b7 ,publication of findings ,not later than #ah months after the date of enactment of this ,act1 the ,comptroller ,general of the ,united ,states shall publish the findings under subsection 7a74 #f4 ,effective date ,except as otherwise provided in this ,act and the amendments made by this ,act1 the provisions of this ,act and the amendments made by this ,act shall take effect #f months after the date of enactment of this ,act4